Midterm elections and stocks: How to gain no matter who wins

By Leia Klingel Published May 08, 2018 Politics FOXBusiness Facebook Twitter Comments Print video Karl Rove on midterms: Trump will be a big presence in the election Karl Rove, former White House chief of staff under President George W. Bush, on the fallout from President Trump’s payment to attorney Michael Cohen, the midterm election and the trade talks with China. There are some high-stakes primaries for the GOP on Tuesday, six months before the midterm elections. Continue Reading Below The primaries may give investors a sense of what will happen in November, when all 435 seats in the U.S. House of Representatives and 35 of 100 seats in the Senate will be contested. According to Wells Fargo, current polls show a likelihood of a Democratic takeover in the House while it is likely that the Republicans will hang on to a Senate majority. The bank said that congressional turnover is common in a U.S. president’s second year in office. Either way, the bank is expecting markets to be higher by year-end. Historically, political uncertainty leading up to midterm elections has led to greater market volatility, and this year has been no exception. Equity market corrections during midterm election years, like the one that occurred in 2018, have turned out to be buying opportunities. “We continue to expect higher U.S. equity markets by year-end 2018, the bank said in a research note. “Periods of volatility can offer opportunities to invest in cyclical equity sectors that we favor, and in a variety… [Read full story]